Lonking Holdings Limited

SEHK:3339 Stock Report

Market Cap: HK$6.2b

Lonking Holdings Valuation

Is 3339 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 3339 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3339 (HK$1.46) is trading below our estimate of fair value (HK$2.02)

Significantly Below Fair Value: 3339 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3339?

Key metric: As 3339 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 3339. This is calculated by dividing 3339's market cap by their current earnings.
What is 3339's PE Ratio?
PE Ratio7.3x
EarningsCN¥796.39m
Market CapCN¥5.73b

Price to Earnings Ratio vs Peers

How does 3339's PE Ratio compare to its peers?

The above table shows the PE ratio for 3339 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average35.3x
1596 Hebei Yichen Industrial Group
51xn/aHK$2.3b
631 Sany Heavy Equipment International Holdings
9.4x25.8%HK$15.4b
317 CSSC Offshore & Marine Engineering (Group)
72xn/aHK$28.9b
3808 Sinotruk (Hong Kong)
8.8x12.2%HK$57.6b
3339 Lonking Holdings
7.3x6.5%HK$6.2b

Price-To-Earnings vs Peers: 3339 is good value based on its Price-To-Earnings Ratio (7.3x) compared to the peer average (35.3x).

Price to Earnings Ratio vs Industry

How does 3339's PE Ratio compare vs other companies in the HK Machinery Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
2060 Pujiang International Group
1xn/aUS$19.99m
No more companies available in this PE range
3339 7.3xIndustry Avg. 7.2xNo. of Companies10PE0612182430+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 3339 is expensive based on its Price-To-Earnings Ratio (7.3x) compared to the Hong Kong Machinery industry average (7.2x).

Price to Earnings Ratio vs Fair Ratio

What is 3339's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

3339 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.3x
Fair PE Ratio5.5x

Price-To-Earnings vs Fair Ratio: 3339 is expensive based on its Price-To-Earnings Ratio (7.3x) compared to the estimated Fair Price-To-Earnings Ratio (5.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 3339 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$1.46
HK$1.65
+12.7%
2.9%HK$1.71HK$1.60n/a3
Nov ’25HK$1.51
HK$1.65
+9.0%
2.9%HK$1.71HK$1.60n/a3
Oct ’25HK$1.66
HK$1.65
-0.8%
2.9%HK$1.71HK$1.60n/a3
Sep ’25HK$1.42
HK$1.57
+10.7%
8.0%HK$1.70HK$1.40n/a3
Aug ’25HK$1.54
HK$1.56
+1.5%
8.0%HK$1.70HK$1.40n/a3
Jul ’25HK$1.46
HK$1.36
-7.0%
22.0%HK$1.70HK$0.97n/a3
Jun ’25HK$1.45
HK$1.36
-6.3%
22.0%HK$1.70HK$0.97n/a3
May ’25HK$1.44
HK$1.36
-5.7%
22.0%HK$1.70HK$0.97n/a3
Apr ’25HK$1.43
HK$1.22
-14.4%
14.5%HK$1.39HK$0.98n/a3
Mar ’25HK$1.32
HK$1.25
-5.1%
12.7%HK$1.40HK$0.98n/a4
Feb ’25HK$1.26
HK$1.25
-1.0%
12.7%HK$1.39HK$0.98n/a4
Jan ’25HK$1.22
HK$1.24
+1.3%
13.1%HK$1.39HK$0.96n/a4
Dec ’24HK$1.19
HK$1.24
+3.9%
13.1%HK$1.39HK$0.96n/a4
Nov ’24HK$1.22
HK$1.36
+11.5%
21.7%HK$1.79HK$0.96HK$1.514
Oct ’24HK$1.37
HK$1.36
-0.7%
21.7%HK$1.79HK$0.96HK$1.664
Sep ’24HK$1.40
HK$1.39
-0.6%
17.9%HK$1.77HK$0.98HK$1.425
Aug ’24HK$1.41
HK$1.39
-1.3%
17.9%HK$1.77HK$0.98HK$1.545
Jul ’24HK$1.29
HK$1.38
+6.6%
17.9%HK$1.77HK$0.99HK$1.465
Jun ’24HK$1.12
HK$1.38
+23.1%
17.7%HK$1.77HK$1.00HK$1.455
May ’24HK$1.39
HK$1.39
+0.02%
27.2%HK$1.90HK$0.83HK$1.444
Apr ’24HK$1.41
HK$1.39
-1.4%
27.2%HK$1.90HK$0.83HK$1.434
Mar ’24HK$1.50
HK$1.42
-5.2%
26.7%HK$1.91HK$0.85HK$1.324
Feb ’24HK$1.62
HK$1.41
-13.3%
27.0%HK$1.90HK$0.85HK$1.264
Jan ’24HK$1.37
HK$1.27
-7.5%
19.3%HK$1.50HK$0.82HK$1.225
Dec ’23HK$1.36
HK$1.12
-17.5%
15.3%HK$1.25HK$0.80HK$1.195
Nov ’23HK$1.09
HK$1.12
+2.9%
15.3%HK$1.25HK$0.80HK$1.225

Analyst Forecast: Target price is less than 20% higher than the current share price.

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